Mahindra & Mahindra Sees Surge in Active Put Options with 5,080 Contracts Traded

Mahindra & Mahindra Ltd, a prominent player in the automobiles sector, has emerged as one of the most active stocks in the options market today, particularly in the put options segment. The company’s underlying stock, M&M, has seen significant activity with 5,080 put contracts traded, reflecting a turnover of approximately Rs 891.13 lakhs. The options have a strike price of Rs 3,200 and are set to expire on September 30, 2025, with an open interest of 1,645 contracts.
In terms of price performance, M&M has underperformed its sector by 1.34%, marking a consecutive decline over the past four days, resulting in a total drop of 5.25%. The stock reached an intraday low of Rs 3,187.90, down 3.26% from previous levels. The weighted average price indicates that more volume was traded closer to this low price point.

Despite being above the 50-day, 100-day, and 200-day moving averages, M&M is currently below the 5-day and 20-day moving averages. Additionally, there has been a notable decrease in investor participation, with delivery volume falling by 12.81% compared to the five-day average. The stock remains liquid enough for trading, with a market cap of Rs 3,98,800 crore, classifying it as a large-cap entity.

In summary, Mahindra & Mahindra's recent activity in the options market highlights a significant focus on put contracts amid a challenging performance trend.